Women have proven to be better than men at stock market investingThe question has been addressed several times over the years, already in 2001 a research conducted by Benjamin Barber and Terrance Odeanfinance professors at the University of California, Davis, noted how investments made by women earned 1% more than men.
A 2021 study by Fidelity confirmed similar findings, showing that women outperform men by about 0.4% over a 10-year period. This advantage does not only concern individual investors, but also manifests itself among professionals, where female CEOs of major capital have consistently outperformed their male counterparts. Data shows that women often do this they approach in a more disciplined and patient manner to investments, which translates into better financial results over time.
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Why do women get better returns?
One of the key aspects is that Women tend to take less risk than men when it comes to investing. A 2022 Wells Fargo report found that women only take on about 82% of the risk compared to men, yet still manage to earn higher returns over time. High-risk, high-return investments may sound appealing, but they often don’t pay off. The female audience approaches in a more cautious and patient manner, and this translates into positive long-term results.
Increasing participation of women in investments
Keeping Calm in Times of Crisis: A Passive Approach
Women are generally less impulsive than men.This leads to greater investment success. During periods of high market instability, only 8% of women have withdrawn money from their retirement accounts, according to a 2022 survey by Nationwide, compared with 15% of men.
This emotional stability allows women to follow a coherent, long-term oriented investment strategy. With this measured approach, you reduce the risk of significant losses and benefit from them. more consistent and sustainable growth of assets.
Women and Finance: Overcoming Stereotypes
Stock market and finance investment questions were traditionally considered the domain of men, Women are now demonstrating that they possess qualities that make them equally competent investors. With the innate tendency to be less impulsive and managing risks more prudently have achieved excellent results in the world of finance.
This evolution highlights the importance of greater inclusion and valuing diverse perspectives within the financial sector. Integrating greater gender diversity not only promotes equity, but This also enriches decision-making and results in the financial sector.
